- The completion of a head and shoulders pattern on the Dogecoin price chart suggests a major bullish break ahead.
Dogecoin (DOGE) price appears to be undeterred by the disheartening developments in the US. Today, news broke that the US Securities and Exchange Commission (SEC) postponed its verdict on Grayscale’s pending spot Dogecoin exchange-traded fund (ETF).
Notwithstanding the disappointment of some members of the cryptocurrency community, the OG meme coin shot up by over 7% from a $0.218 low to a $0.2335 high in the last 24 hours. As of Wednesday noon (UTC), it settled at the $0.22 range, locking more than a 3% gain in the daily chart.
Along the way, DOGE experienced an 11% boost in its trading volume as it moved $1.98 billion worth of its supply across wallet addresses. Meanwhile, the market cap of its 149.35 billion circulating token supply pivoted from $32.56 billion to $34.87 billion in the ensuing volatility.
Dogecoin remains around 69% down from its all-time high of $0.7376 four years ago. However, the technical reading of Bitcoinsensus hints at a possible doubling of DOGE’s price within a week.
Dogecoin to $0.42-$0.43 in a Week
According to the pseudonymous crypto analyst, Dogecoin price has been going down in the past few months. But then again, it’s in a healthy manner. The trend suggests it’s building momentum for its next significant breakout.
The analyst anchored the prediction at the completion of an inverse head and shoulder pattern in Dogecoin’s descending channel since December last year. The left shoulder occurred in March below $0.15, followed by the head in the succeeding month under $0.13. Completing the formation was the right shoulder this month at around $0.16.
Just like that, a recent breakout above the neckline between $0.18 and $0.20 has positioned Dogecoin on a bullish trajectory, with its next big break anticipated in the next seven days. It could establish its supply zone within $0.42 to $0.43 if successful.
SEC Postponement of Grayscale’s Dogecoin ETF
The SEC’s shift toward a more crypto-friendly stance caused heavy expectations on its possible approval of all pending altcoin ETFs this year. With the first few applications reaching their first deadline this week, crypto community members were left disappointed when the regulator decided to delay its verdict.
However, analysts, including key personalities in finance and crypto, such as ETF Store President Nate Geraci and Bloomberg Intelligence analyst James Seyffart, assured investors that the delay was a part of the usual process. It was only a matter of ensuring they would be rolled out in the market without a hitch.
Hence, the government watchdog will likely bide its time until the final deadline to give its verdict, similar to its earlier treatment of the earlier Bitcoin (BTC) and Ethereum (ETH) ETFs.
